Compliance Adviser - Question of the Week

The Compliance Question of the Week is chosen from questions received through the Compliance Adviser Helpline, a free resource available to CBW bank members. Submit your questions to Kelly Goulart - 512-275-2231 or kgoulart@complianceadviser.com.

Can We Stop a Check Kiting Scheme?​ -We have a customer that we suspect is kiting. In the night depository today, we had checks totaling $13,000 for deposit to that customers account, drawn on that same customer at another bank. Today we also have approximately $13,000 in checks presented by the same bank. Can we do something to stop this suspected kiting? Answer

Past CA Questions of the WeekWebsite ADA Compliance Update - Where might I find additional/update info regarding ADA Compliance for internet banker? Is the date for implementation still May 2018?AnswerDo We Need An LEI Number? - Is there an exemption for community banks from having to obtain an LEI number?Answer​How many SARS in a Year? - We filed a SAR in which we have identified a suspect. How many ‘continuing activity’ SARs do we have to file? AnswerDebit Card Stolen From Daughters Truck - Can She Dispute the Charges? - One of our customers gave her debit card and PIN (presumable written on a piece of paper) to her daughter to use. The daughter’s truck was broken into and the debit card with the PIN was taken. The card was used to make numerous transactions the customer is now disputing. Since the customer gave the debit card to her daughter, and it was stolen from her daughter, can she really dispute these transactions as unauthorized? AnswerOur Bank is Purchasing a Participation - Do We Need An Appraisal? - A bank we occasionally sell/buy participations to/from has asked us to purchase a participation in an existing commercial real estate secured loan. The participation we would be purchasing is for more than $250M. There is no new money to the borrower. It will, however, be a new loan on our books. Will an appraisal be required on our part or would an evaluation suffice? Answer'Other" Purpose Category for 2018 HDMA Reporting - In 2018, the HMDA purpose categories will include 'Other'. What is 'other' going to be used for? AnswerPlacement of Flood Insurance - Is the advancement of funds to cover the premium to force-placed flood insurance a MIRE event? AnswerLending Appraisals Multiple Properties - We are making a $500,000 loan secured by three properties. One property is estimated at nearly $400,000, and the other two properties are estimated at $150,000 each. Because the loan is over $250,000 and no other exemption applies, do we need an appraisal on each property? Answer​

​In these times of regulatory change and uncertainty, the need for timely and consistent resources is critical for all community banks. Compliance Adviser is a FREE exclusive compliance resource for CBW Bank Members. About Compliance AdviserFor questions or to enroll in the program, CBW member banks should contact Kathy Swenson at 360-754-5138 or kathy@communitybankers-wa.org.